Allotment: why a bigger application rarely helps

If an issue is oversubscribed — more money applied for than there are shares — somebody has to decide who gets what. In Nepal the practice for heavily oversubscribed issues is to prioritise giving as many applicants as possible the minimum lot, allocated by lottery.

The consequence surprises people: applying for ten times the minimum does not usually give you ten times the chance. In a very heavily oversubscribed issue, a large application and a minimum application often receive the same thing — the minimum lot, or nothing.

Checking the result

Allotment results appear in Mero Share once the issue closes and the allotment is completed. Unallotted amounts are released back to your account, usually within a few days.